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The Amended LCIA Rules And Their Effectiveness In Meeting The Goals Of Focussing On Cyber Security And Data Protection


The London Court of International Arbitration ( LCIA) is one of the world’s leading international institutions for commercial dispute resolution. Very similar to the arbitration system of our country it also works as the same. It also helps parties to solve their commercial disputes. It is an institution whose rules are universally applicable and it is suitable for all types of arbitral disputes. 

LCIA has the best in it as it has a lot of flexibility as well as the speed and efficiency in the appointment of arbitrators. The rules of LCIA are so flexible and contribute a lot to the IT sector also. The rules of LCIA have gone through an amendment process and have become more advantageous. So, let us discuss about the amended rules of LCIA , meaning of data protection and cyber security.


LCIA amended its various rules. On 11 August, LCIA unveiled the rules of arbitration. Those amended rules will be effective from 1 October onwards. All these rules supersede the rules which were effective till 2014. The newly introduced rules of LCIA are so modern in line and is more effective than the rules which were present till 2014. The new drafters of these rules said that these rules are not dramatic and are huge effective than the early laws.
Some of the main changes that are introduced to the LCIA rules are summarised below:

  • EARLY DETERMINATION- The process of an expression in early determination has been introduced. Under previous rules the power of dismissal lied within the hands of arbitral only which is clearly mentioned in Article 14.4 (ii) and 14.5 of the 2014 LCIA Rules. The 2020 has made purely to express all these rules in the Article 22.1 (viii). The express coming out of the power of dismissal from the hands of arbitral is a great step towards the general trend and in the development also. The newly made rules will also help in the enhancement of the international arbitration, save costs and protect parties from manifestly unmeritorious claims.
  • MULTIPLE PROCEEDINGS AND CLAIM- It is also a very huge development for LCIA that it has purely widened its rules and hence a new article, i.e., article 22A has been added. Under the 2014 LCIA rules the tribunals only had the power to order with the allowance of LCIA but now after the changes made in the rule the tribunals have the right to work accordingly without the permission of LCIA. 

Before discussing about the effect of LCIA amended rules on cyber security and data protection , it is very crucial for us to discuss about cyber security and data protection.


The security in the field of internet areas is known as cyber security. Our country, India enacted the IT Act, i.e., Information Technology Act 2000 on 9th June 2000. It is purely based upon the UNCITRAL model law on e- commerce. The preamble of this act focusses a lot on the transactions which are carried electronically. The scope of this sector is so wide. It has reached too many people across the whole world. It has widened its scope to data protection, cyber crime etc.
This act also travelled through the path of an amendment. It was amended in 2011 lastly. Though there has been so much increment in cyber fraud, data breaches the IT sector has not made any changes since the past 9 years. The Minister of Electronics and Information Technology in February 2020 announced so clearly that it will make IT sector so strong that it can focus so strongly on cyber security.


Data protection is one of the crucial parts of the cyber security. We can say it very lucidly that it is the backbone of the cyber security. The information which are so personal and important are secured. Such data is when protected is known as data protection. Our data reveals a lot about us, gives a lot of crucial information, our thoughts are secured due to protection. The leakage of such information can be very dangerous. Such data can be easily exploited with an intention to harm. It is very important for everyone to secure data such as journalists, activists etc.
Data protection enables us to safeguard our important information. So, if we talk about the general definition of data protection we can very lucidly say that it is the very important process of safeguarding information from corruption, compromise or loss. It’s importance increases as the data stored continues to grow at large.
In the European Union, data protection is a fundamental right. It is a very positive work for Europeans so that they can protect their personal data.


The rules of LCIA have been so flexible and effective and it is contributing a lot for the other sectors too. The effectiveness of the LCIA rule on IT is mentioned in a clause as follows:
“ The Revised Arbitration Rules also contain a new provision explicitly providing that any processing of personal data by the LCIA is subject to applicable data processing legislation. The Tribunal must also consider, at an early stage of the arbitration, whether to adopt specific information security measures and measures to ensure that any personal information exchanged during the arbitration complies with the applicable data protection legislation. It is very clearly mentioned in Article 304A and 13. The amendments also contain new provisions regarding compliance with applicable requirements relating to bribery, corruption, terrorist financing, fraud, tax evasion, money laundering, and economic or trade sanctions (Article 24A and Article 10).”


The LCIA rules are much effective for the cyber security. The amended rules are much more profitable and contribute a lot towards the rights of tribunal. Earlier, for making some decisions tribunal used to take permission from LCIA and they did not have many advantages but now they have many advantages and rights. The rules are also much effective on the cyber security and data protection. It contributes a lot in the data protection. It also contributes in the field of IT sector a huge. Some new provisions were made to eradicate online frauds and many other cyber crimes. So, the amended LCIA rules contributed a lot in our IT sector and due to those amended rules the performance of this sector is getting broadened.



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This blog is authored by- Palak Tripathi, student at C.M.P. Degree College, University of Allahabad, Prayagraj

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